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30 Sep 2018, 21:04
2
00:00

Difficulty:

45% (medium)

Question Stats:

54% (01:11) correct 46% (01:36) wrong based on 41 sessions

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John sold a book for $50. If he made a profit of 25% on it, by how much should he increase the price if he wants to earn 50% on the book? (A)$5
(B) $10 (C)$20
(D) $25 (E)$50

Chetan's questions

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Re: John sold a book for $50. If he made a profit of 25% on it, by how muc [#permalink] ### Show Tags 30 Sep 2018, 21:12 2 chetan2u wrote: John sold a book for$50. If he made a profit of 25% on it, by how much should he increase the price if he wants to earn 50% on the book?
(A) $5 (B)$10
(C) $20 (D)$25
(E) $50 New question!!!.. Current Selling price = 50 profit % = 25 So we can calculate the cost price of the book as follow: (50 / 125)*100 = 40 cp = 40 Now we want to gain 50%. Selling price new: (40*150 )/ 100 = 60. Difference between new selling price and old selling price = 60 - 50 = 10 so we have to increase 10$ to gain 50% on the book .

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Re: John sold a book for $50. If he made a profit of 25% on it, by how muc [#permalink] ### Show Tags 30 Sep 2018, 22:09 chetan2u wrote: John sold a book for$50. If he made a profit of 25% on it, by how much should he increase the price if he wants to earn 50% on the book?
(A) $5 (B)$10
(C) $20 (D)$25
(E) $50 New question!!!.. Initial Selling Price =$50.
Profit = 25% of cost
Expressing profit as fraction 25% = 1/4 of cost.

SP = CP + Profit
50 = CP + 1/4 CP
Or 5/4 CP = 50
CP = 50*(4/5) = 40.

If John wants a profit of 50%, his selling price should be 40 + 50% of 40 = 40 + 20 = $60. Initial selling price =$50.
So, he has to increase his SP by $10. _________________ An IIM C Alumnus - Class of '94 GMAT Tutor at Wizako GMAT Classes & Online Courses Senior Manager Joined: 17 Jan 2017 Posts: 296 Location: India GPA: 4 WE: Information Technology (Computer Software) Re: John sold a book for$50. If he made a profit of 25% on it, by how muc  [#permalink]

### Show Tags

01 Oct 2018, 01:36
chetan2u wrote:
John sold a book for $50. If he made a profit of 25% on it, by how much should he increase the price if he wants to earn 50% on the book? (A)$5
(B) $10 (C)$20
(D) $25 (E)$50

New question!!!..

Current price of the book $$= 50$$
Let the initial price be$$'x'$$
Profit of 25% i.e., $$50 = x(1+25/100)$$
$$50 = x (125/100)$$
$$x = 50/1.25$$
$$x = 40$$
Initial price of book $$= 40$$
To earn 50% profit $$= 40*(50/100) = 20$$
Therefore, John needs to sell the book at $$= 40+20 = 60$$
Current price $$= 50$$
Price needed to increase $$= 60-50 = 10$$

Hence B
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Re: John sold a book for $50. If he made a profit of 25% on it, by how muc [#permalink] ### Show Tags 05 Oct 2018, 10:17 SP=$50
(1.25)*CP=50
So, CP=40
Now, Profit=50-40=$10 this means, 25% profit=$10
50% profit=$20 thus, increase in price=$20-$10=$10